Commenced in January 2007
Paper Count: 30578
Framework for Spare Inventory Management
Abstract:Spare parts inventory management is one of the major areas of inventory research. Analysis of recent literature showed that an approach integrating spare parts classification, demand forecasting, and stock control policies is essential; however, adapting this integrated approach is limited. This work presents an integrated framework for spare part inventory management and an Excel based application developed for the implementation of the proposed framework. A multi-criteria analysis has been used for spare classification. Forecasting of spare parts- intermittent demand has been incorporated into the application using three different forecasting models; namely, normal distribution, exponential smoothing, and Croston method. The application is also capable of running with different inventory control policies. To illustrate the performance of the proposed framework and the developed application; the framework is applied to different items at a service organization. The results achieved are presented and possible areas for future work are highlighted.
Digital Object Identifier (DOI): doi.org/10.5281/zenodo.1071130Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 6056
 Y. Li, B. Yang, H. Hu, and I. Chang, "A simulation-optimization approach to spare parts allocation based on decision-maker's satisfaction," in Reliability, Maintainability and Safety, 2009. ICRMS 2009. 8th International Conference on, pp. 576-581, 20-24 July 2009.
 M. Bevilacqua, F.E. Ciarapica, and G. Giacchetta,"Spare parts inventory control for the maintenance of productive plants,"" in Industrial Engineering and Engineering Management, pp.1380-1384, 8-11 Dec. 2008.
 K. Aronis, I. Magou, R. Dekker, and G. Tagaras, "Inventory control of spare parts using a Bayesian approach: A case study," European Journal of Operational Research, vol. 154, Issue 3, pp. 730-739, May 2004.
 W.J. Kennedy, J. Wayne Patterson, and L. D. Fredendall, "An overview of recent literature on spare parts inventories," International Journal of Production Economics, vol. 76, pp. 201-215, March 2002.
 A. Bacchetti and N. Saccani, "Spare parts classification and demand forecasting for stock control: Investigating the gap between research and practic," Omega, vol. 40, Issue 6, pp. 722-737, December 2012.
 L. Ye Chen and K.W., Si-feng Liu; , "A comparative study on multicriteria ABC analysis in inventory management," in Systems, Man and Cybernetics, 2008. SMC 2008. IEEE International Conference on, pp. 3280-3285, 12-15 Oct. 2008.
 I. Liiv, "Inventory classification enhancement with demand associations," in Service Operations and Logistics, and Informatics, IEEE International Conference, SOLI, 2006, pp. 18-22, 21-23..
 M. Yu, "Multi-criteria ABC analysis using artificial-intelligence-based classification techniques," Expert Systems with Applications, vol. 38, Issue 4, pp. 3416-3421, April 2011.
 W. Lung Ng, "A simple classifier for multiple criteria ABC analysis," European Journal of Operational Research, vol. 177, Issue 1, pp. 344- 353, 16 February 2007.
 P. Zhou and L. Fan, "A note on multi-criteria ABC inventory classification using weighted linear optimization," European Journal of Operational Research, vol. 182, Issue 3, pp. 1488-1491, 1 November 2007.
 F. Y. Partovi and M. Anandarajan, "Classifying inventory using an artificial neural network approach," Computers & Industrial Engineering, vol. 41, Issue 4, pp. 389-404, February 2002.
 C. Wu Chu, G. Shuh Liang and C. Tseng Liao, "Controlling inventory by combining ABC analysis and fuzzy classification," Computers & Industrial Engineering, vol. 55, Issue 4, pp. 841-851, November 2008.
 A. Hadi-Vencheh and A. Mohamadghasemi, "A fuzzy AHP-DEA approach for multiple criteria ABC inventory classification," Expert Systems with Applications, vol. 38, Issue 4, pp. 3346-3352, April 2011.
 P. Long Chang, Y. Chou, and M. Guang Huang, "A (r; r;Q) inventory model for spare parts involving equipment criticality," International Journal of Production Economics, vol. 97, Issue 1, pp. 66-74, 18 July 2005.
 S. Chin Yang and Z. Du, "Criticality evaluation for spare parts initial provisioning," in Reliability and Maintainability, 2004 Annual Symposium, RAMS, 26-29 Jan. 2004, pp. 507- 513.
 A. A Syntetos and J. E Boylan, "On the bias of intermittent demand estimate," International Journal of Production Economics, vol. 71, Issues 1-3, pp. 457-466, 6 May 2001.
 T.R. Willemain, C.N. Smart, and H.F. Schwarz, "A new approach to forecasting intermittent demand for service parts inventories," International Journal of Forecasting, vol. 20, Issue 3, pp. 375-387, July-September 2004.
 S.G. Li, and X. Kuo, "The inventory management system for automobile spare parts in a central warehouse," Expert Systems with Applications, vol. 34, Issue 2, pp. 1144-1153, February 2008.
 Z. Hua, and B. Zhang, "A hybrid support vector machines and logistic regression approach for forecasting intermittent demand of spare parts," Applied Mathematics and Computation, vol. 181, Issue 2,pp. 1035- 1048, October 2006.
 E. Porras, and R. Dekker, "An inventory control system for spare parts at a refinery: An empirical comparison of different re-order point methods," European Journal of Operational Research, vol. 184, pp. 101- 132, January 2008.
 K. Yang, and X. Niu, "Research on the spare parts inventory," Industrial Engineering and Engineering Management, 2009. IE&EM '09. 16th International Conference on, pp. 1018-1021, 21-23 Oct. 2009.